Alliant Wins Rocket Order

Published: June 27, 1995

MINNEAPOLIS, June 26—
Alliant Techsystems Inc. said today that the McDonnell Douglas Corporation had ordered $300 million of solid rocket propulsion systems for the new Delta 3 space launching vehicle.

McDonnell Douglas, based in St. Louis, also extended a similar contract for the medium-lift Delta 2 through 2000. Potential options could increase the contracts' total value by several hundred million dollars and extend production through 2005.

The order, one of Alliant's biggest in recent years, is not expected to affect employment immediately. It could result in the hiring of as many as 100 workers in 1997 or 1998.

Separately, the Minneapolis-based aerospace and military contractor said it had agreed to pay $15 million to settle a lawsuit involving its Accudyne operation in Janesville, Wis.

Alliant said the suit involved charges regarding environmental laws, testing and certifications on a Government contract for the production of control and sensor electronic assemblies before it bought the plant in October 1993. A spokesman declined to elaborate.

The company also restated its fiscal year 1995 earnings to reflect a charge for the settlement. As a result, Alliant posted a loss of $74.1 million, or $7.37 a share, instead of a loss of $59.1 million, or $5.88 a share, reported earlier.